The concept of globalization is the exchange of ideas, materials and human resources. Now this exchange is possible among nations without much control. Looked at this way, it assumes different levels of political, economic and cultural meanings. In his sense it has merits and demerits. Some societies may be affected only very little, but some may be affected much more.
Let us see how it works:
Contemporary World Politics
Political results:
Politically speaking, the authority of the government gets weaker. It will have to reduce its welfare schemes.
Instead of social welfare, the stress is on the market. With the coming MNCs (Multi National Corporations), it becomes difficult for the governments to take independent decisions. According to the advocates of globalization, no political power of the government is lost. The essential things will remain under the authority of the government. Since technology has advanced so much, governments can do a lot. Technology helps governments to know the details of their citizens and make the administration efficient.
Economic Results:
Globalization has influenced the economic sphere greatly. World Bank, IMF, WTO etc. play big roles. All these are controlled mainly by America and its allies. The world economy itself has come under their influence. In this, a rethinking is necessary. It is high time that we found out who the beneficiaries of globalization are. As a result of globalization, import controls are reduced or removed. The developed nations can now invest their capital in the developing nations.
Investing in the developing nations is more profitable. Technologies develop without any limits of borders. But regarding the movement of people, the developed nations have made certain rules. Their countries are kept safe from foreign workers through the policy of Visa. Because of the visa rules, the jobs of their citizens are not taken away by emigrants.
There are arguments in favour and against economic globalization. Although the policy is the same, different places get different results. Those who think of social justice can look at the limitations on government only as a demerit of globalization. Those who are economically backward need some special security not to suffer from the demerits of globalization. Some people believe that globalization makes the poor people poorer and so it must be stopped.
But globalization brings about huge economic growth and the social welfare of many. Large scale commerce makes the economy better. It is not easy to prevent globalization in the forward march of history.